Orco Property Group has released its figures for 2008 (click here to read the whole thing), and they’re not a lot worse than expected after the consolidated figures were published back in April. Still, auditors PwC were concerned enough by the €390m loss on the year to say that if certain steps being considered by the company’s management weren’t taken, the company’s future as a going concern “would not be assured.”
While the statement was no more specific, it probably relates in part to ongoing negotiations with the American investor Colony Capital. A deadline of June 22 (link in Czech) has been set according to the daily E15 to complete an initial capital raising worth €25m, which would be followed by another €140m (once court protection is lifted). At current rates, according to some estimates, this would give it a 60 to 70 percent hold over the company. Analysts are seeing this as a positive development, but the minority shareholders in the group SOS Orco, open opponents of Orco’s CEO Jean-François Ott, are unimpressed.